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Required information [The following information applies to the questions displayed below.] Sedona Company set the...

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Accounting

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Required information [The following information applies to the questions displayed below.] Sedona Company set the following standard costs for one unit of its product for this year. Direct material (20 Ibs. @ $3.30 per Ib.) Direct labor (15 hrs. @ $6.00 per hr.) Variable overhead (15 hrs. @ $2.80 per hr.) Fixed overhead (15 hrs. @ $1.20 per hr.) Total standard cost $ 66.00 99.00 42.00 18.00 $216.00 The $4.00 ($2.80 + $1.20) total overhead rate per direct labor hour is based on an expected operating level equal to 75% of the factory's capacity of 58,000 units per month. The following monthly flexible budget information is also available. 75% Flexible Budget Budgeted output (units) Budgeted labor (standard hours) Budgeted overhead (dollars) Variable overhead Fixed overhead Operating Levels (% of capacity) 70% 80% 600 43,500 46,400 609,000 652,500 696,000 $1,705,200 783,000 $2,488,200 Total overhead $1,827,000 783,000 $2,610,000 $1,948,800 783,000 $2,731,800 During the current month, the company operated at 70% of capacity, employees worked 575.000 hours, and the following actual overhead costs were incurred.

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